St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1887-08-17
when THIEVES FALL OUT.
4 DefauItiug New York Bank Official
Leaves S14O, 900 With His Friend
and Attorney,
Who Converts it to His Own Use and is
"Given Away" by His Irate
Accomplice.
The Lawyer Promptly Arrested and
jailed at the Instance of the De-
frauded Bank.
A Clever Canadian Check Raiser---The
General Record of Criminal In
telligence.

lIlNOlNlI2 dll dDScOll1lllS DdiIh tcilol anu
a sharp lawyer, who used the teller for
a cats paw. came to light yesterday,
when John B. Dunn was arrested and
lodged in Jail. Dunn is a lawyer, who
was at one time connected with the law
firm of w. d 5. W. Fullerton. He was
arrested yesterday oh a warrant granted
by Judge DOnohue, at the instance OF
MessrS. SternS IL Myers. SternS IL
Myers are acting for the bank OF the
Manhattan company, and have arrested
Dunn for appropriating and using $780,
000 of the bank money. In 1885 Pay
ing Teller Richard S. Scott, brother-in-
law Of W. ID. SearleS, vice president of
the Farmers Loan and Trust company,
abSconded with Sl50.000, $4,000 of which
he kept for his own Use. and the remain
ing Sl40.0O0 he left with Dunn, his Wife'S
cousin. who is alleged to have been his
adviser and instigatOr in the whole
transaction. Scott fled to Canada and
thence to London, where he is still.
Dunn was to keep the $4,000 for Scott
and to let the latter have it as he asked
for it. Furthermore, he was to secretly
effect compromise of ScOtt'S civil liza
bilitleS to the bank, pay what the bank
agreed to receive and send the remain
der to Scott In an affidavit made on
June IA last, before Consul General
Waller. in London, Scott testified to the
above arrangement and further declared
that Dunn furnished him money,
amounting to less than $4,000, and after
January, 1887. he received no more.
Last January the bank agreed to COM
promise ScOtt's civil liabilities for $50,
600. and the defaulting teller wrote to
Dunn to at once pay the sum. Dunn
replied that he had lost the whole
amount in speculation, and could not do
so. This determined Scott to expose the
lawyer, and hence the bank has begun
suit against John r. Dunn for the whole
amount, with interest. Dunn is at Lud-
low street jail, and is likely to remain
there. as his bail is fixed at S15,000.
THE PRINCIPAL FOUNDATION
for the suit is i'll affidavitS by relatives
of the embeZZier, and the principal.
That by Scott himself is vOluminOuS,
and was drawn up in the presence of
and acknowledge by United States Con-
sui Gen. Walter, at London, June
IA. In it Scott states that at various
times prior to June 1, 1885, he extracted
small sums Of money from the safe
which aggregated about $4,000. This
he had lost in speculation in the street.
About this time there was a change in
the administration of the bank. De-
Witt c. Hays, who had been the treas
urer of the stock exchange, having
succeeded William Henry Smith as
president of the bank. Scott feared
that this change might cause an inveSti-
CATION of the banks affairs. John p.
Dunn, cousin of ScOtt's wife, was
practicing law there, and Scott haStened
to him for advice. Dunn asked him how
much money was in his reach. Scott
replied that there was over a mil
lion dollars in his charge. Dunn
addressing Scott said: My advice to
YOU is to take S1,00O,000. 1t will be
enough to cripple the bank and will en-
able you to go to Canada. If you take
small amount people will laugh at you,
but if you take a large amount people
will say you are smart and you will COM
pei the bank to compromise" Then
Dunn asked him if he had altered the
books. saying that if had done so he
could be held for forgery and eXtradited
from Canada. Scott, however, said that
he had not done so. Dunn then said
that he would look the question up and
let him know the following afternoon.
Scott met him by appointment. Dunn
told him that the decisions III the books
were in conformity with his advice.
Dunn told him that he had had expert
ence in the office of Judge Fullerton
and that Scott
NEED HAVE NO FEAR
as he DUNN was too smart to be caught
or to permit anybody to get ahead of
him. He advised Scott to get an old
suit of clothing, shave off his mus
tache. travel second class TO Canada,
disguise himself as much as possible.
and do as little talking as possible. He
advised Scott not TO write to either him
self or anybody else to New York in the
common way, for detectives often
caught people by watching their cor
reSpondemce lie also advised him to
address him as W. NJ. CulverSOn. box
10G1, New York postoffice." All letters
TO friends were to be addressed and
placed in an envelope bearing the above
address. When Scott went TO the bank
the next day he took 500. 600 in gold and
silver certificates of the denomination
of $1,000. 81 900 and 500 and placed
them in a package which he concealed
about his person. He met Dunn at
Central park, and they went TO a secret
spot and talked. Dunn asked him if he
had any friends with whom to leave the
money. telling him that under interna-
tiOnal treaties. if lie carried any stolen
property into Canada he could he az
rested and eXtradited. Scott said that
he had no one with whom to leave it,
Then said Dunn. Il feel so warm
regard for cousin Lizzie (she is Scott's
Wife) that | would do FOR you what l
would do for no other person on earth.
take charge of that package. the con-
tents of which need not be known, and
take care of it. subject to your order at
all times" He explained that if he
took the money knowing that it be-
longed to the bank it would make him
liable for felony. This was Friday.
They agreed to meet on Monday. Scott
went to the bank next day and replaced
the S500,000. intending 10 make. an ef-
fort to
BORROW ENOUGH MONEY
IN make up the deficiency of $4,000.
FDr this purpose he called on w. ID.
St;arlS. vice president of the Farmers
Loan and Trust company. who is his
brSther-in-law. on the following day.
Selrls was ill., Scott told him that lie
needed Sl0.000. but didn't say for what
purpose. SearlS was unable to make
the loan. That same day. after Scott
mad left. SearlS wrote him letter tell
ing hlm that if he was in any trouble in
the bank lie had better see Auchinloss,
one OF the directors. Scott did not take
this advice, because the letter did not
arrive until after he had left the country.
Finding it impossible to get the neces-
sary money before going to the bank ON
Monday. he got disguise. He took
Sl50,00o. He put 1t III two pack
ages. one of S140,000 and the
other of $4,000. He went to
Central park and met Dunn. They
walked to a secret spot and Scott pulled
out the $4,000 package and said to